Nembe Exploration and Production Company Limited (Nembe E&P), operator of Oil Mining Lease 29 (OML 29), has challenged the Bayelsa State Government over its handling of the Dieama-Okpoama communal crisis, demanding an immediate retraction of a public announcement linking the company to the dispute.

The oil firm also questioned the legality of the government’s directive suspending its land acquisition activities in Brass Local Government Area, insisting that it neither caused nor participated in the October 19 violence.

The company, formerly known as Aiteo Exploration and Production Company, said the government acted without establishing any evidence of its involvement in the confrontation, which reportedly resulted in deaths and injuries.

In a statement issued by its board and obtained by our correspondent on Friday in Yenagoa, Nembe E&P described the government’s announcement as unjustified, prejudicial and damaging to its reputation and commercial interests.

It demanded that the government disclose the evidence upon which it based its decision to associate the company with the crisis and suspend its land acquisition activities.

The company’s position followed an earlier announcement by the Commissioner for Information, Orientation and Strategy, Mrs Ebiuwou Koku-Obiyai, that Governor Douye Diri had directed the suspension of all land acquisition activities and processes by the OML 29 operator in Brass LGA until further notice.

The government had said the dispute between Dieama and Okpoama communities claimed one life, while several others sustained serious injuries.

It also said the police had restored peace in the affected communities and appealed to residents, particularly youths, to avoid actions capable of escalating the crisis.

However, Nembe E&P rejected the government’s action, arguing that the confrontation was rooted in disagreements over black sand mining, community leadership and control of natural resources.

The company said accounts from the communities indicated that a senior state government official convened a meeting involving representatives of Dieama and Okpoama on October 8.

At the meeting, the parties reportedly agreed that black sand mining activities should stop pending further directives from the government.

Nembe E&P alleged that mining continued in Dieama despite the agreement, prompting members of Okpoama community to visit the mining site on October 11 and halt the operations.

It said the October 19 confrontation occurred against the background of the unresolved disagreements.

The company further alleged that its investigations linked the disputed black sand mining activities to Starant Mining Limited, while disagreements over community leadership and resource control deepened tensions.

It, however, acknowledged that the accounts required independent verification and urged the government to investigate the underlying issues rather than associate it with the violence.

On its proposed land acquisition activities, Nembe E&P said a third party with which it had other business transactions presented the proposal.

It maintained that it had no representative on the team that visited the proposed site for negotiations and that the visit ended without incident.

The company also faulted the government’s suspension order, saying it failed to identify any breach committed by Nembe E&P, specify the duration of the suspension or cite the statutory provisions supporting the action.

It challenged the government to explain why it had not addressed the alleged continuation of black sand mining after the October 8 intervention.

Nembe E&P further demanded that any retraction of the announcement should receive publicity and circulation commensurate with the original publication.

It warned that it reserved its legal rights to challenge the government’s directive and seek appropriate remedies to protect its reputation, operations and commercial interests.

Despite its strong objections, the company expressed condolences to the bereaved family and sympathised with those injured in the confrontation.

It called for a thorough and independent investigation to establish the circumstances surrounding the violence and address the underlying disagreements between the communities.